Proactiveinvestors United Kingdom Otto Energy Ltd https://www.proactiveinvestors.co.uk Proactiveinvestors United Kingdom Otto Energy Ltd RSS feed en Wed, 22 May 2019 10:28:06 +0100 http://blogs.law.harvard.edu/tech/rss Genera CMS action@proactiveinvestors.com (Proactiveinvestors) action@proactiveinvestors.com (Proactiveinvestors) <![CDATA[News - Otto Energy Ltd in ASX halt pending update on Byron Energy well ]]> https://www.proactiveinvestors.co.uk/companies/news/160457/otto-energy-ltd-in-asx-halt-pending-update-on-byron-energy-well-67712.html Otto Energy Ltd (ASX:OEL) has been granted a trading halt by the ASX pending an update
in relation to progress and status of the Byron Energy SM 6 #2 well.

SM 6 #2 has already encountered three hydrocarbon bearing sands in the F zone sands.

The well is being drilled on a prospect in the south west corner of a major salt dome in SM 6, located offshore Louisiana, 216 kilometres southwest of New Orleans, Louisiana, U.S.

The halt will remain in place until the opening of trade on Wednesday 30th March 2016, or earlier if an announcement is made to the market.

 

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Thu, 24 Mar 2016 12:00:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/160457/otto-energy-ltd-in-asx-halt-pending-update-on-byron-energy-well-67712.html
<![CDATA[News - Otto Energy to reveal farm-in ]]> https://www.proactiveinvestors.co.uk/companies/news/160456/otto-energy-to-reveal-farm-in-66096.html Otto Energy (ASX:OEL) is readying to reveal details of a farm-in transaction, with the ASX granting the company a trading halt to prepare.

No further details have yet been released.

The company did recently acquire Borealis Petroleum Pty Ltd, which has access to a substantial acreage position in onshore Alaskan North Slope.

The halt will last until the opening of trade on Monday 14th December 2015, or earlier if an announcement is made to the market.

 

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Thu, 10 Dec 2015 12:30:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/160456/otto-energy-to-reveal-farm-in-66096.html
<![CDATA[News - Otto Energy receives US$21.3M from BHP ]]> https://www.proactiveinvestors.co.uk/companies/news/160455/otto-energy-receives-us213m-from-bhp-64884.html Otto Energy (ASX:OEL) has received US$21.3 million from BHP Billiton (ASX:BHP) in relation to drilling costs for the recent Hawkeye-1 exploration well in the Palawan Basin offshore Philippines.

This represents the bulk of BHP’s contribution of up to US$24.5 million with the final payment to be received this quarter once total well cost is confirmed.

Hawkeye-1 intersected hydrocarbons between 2,710 metres and 2,737 metres in reservoir of variable quality.

Cuttings provided indications of fluorescence, usually an indicator of liquid hydrocarbons.

Separately, the company made a final payment of US$7 million to Great Bear Petroleum to earn an 8% and 10.8% working interest in two areas of Alaskan North Slope acreage.

Otto will participate in a future drilling program with a total capped exposure of US$6 million in up to three wells.

The company currently has over US$30 million in available funds to pursue its growth strategy, or cash backing of about A$0.04 per share.

This is well above OEL’s last traded price of $0.029.

 

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Fri, 02 Oct 2015 10:30:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160455/otto-energy-receives-us213m-from-bhp-64884.html
<![CDATA[News - Otto Energy to make acquisition ]]> https://www.proactiveinvestors.co.uk/companies/news/160454/otto-energy-to-make-acquisition-63520.html Otto Energy (ASX:OEL) has been granted an ASX trading halt in relation to a potential acquisition.

The halt will last until the earlier of the announcement being made or the start of trade on Tuesday, 21st July 2015.

Otto is due to drill in August the Hawkeye-1 exploration well in Service Contract 55 in the Palawan Basin, offshore Philippines.

The Hawkeye prospect was identified on 2D seismic originally acquired by Otto in 2007 and further defined with the 600 square kilometre 3D seismic acquisition in late 2009.

This has best estimate in-place oil of 480 million barrels of oil.

Red Emperor Resources (ASX:RMP, AIM:RMP) is earning a 15% stake in SC55. Otto has also received an expression of interest from the Philippines National Oil Company-Exploration Corporation to farm-in to earn a 15% working interest.



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Mon, 20 Jul 2015 07:30:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160454/otto-energy-to-make-acquisition-63520.html
<![CDATA[News - Otto Energy completes seismic survey over Tanzania oil and gas block ]]> https://www.proactiveinvestors.co.uk/companies/news/160453/otto-energy-completes-seismic-survey-over-tanzania-oil-and-gas-block-59921.html Otto Energy (ASX:OEL) and its partner Swala Energy (ASX:SWE) have completed a 430 kilometre 2D seismic program over the Kilombero Basin in central Tanzania.

This data is being processed ahead of detailed interpretation to map additional potential drilling targets for the forthcoming drilling campaign.

The joint venture will carry out basin modelling and seismic amplitude studies to help rank the prospect portfolio ahead of these planned drilling activities.

It has already identified the Kito Prospect as a potential drilling target for 2015.

In December, Otto executed an agreement to sell wholly-owned subsidiary Galoc Production Company, which held its 33% interest in the producing Galoc oil field, to Nido Petroleum (ASX:NDO) for US$108 million.



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Tue, 06 Jan 2015 16:00:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/160453/otto-energy-completes-seismic-survey-over-tanzania-oil-and-gas-block-59921.html
<![CDATA[News - Otto Energy in halt, to divulge major transaction ]]> https://www.proactiveinvestors.co.uk/companies/news/160452/otto-energy-in-halt-to-divulge-major-transaction-57672.html Otto Energy (ASX:OEL) is preparing to reveal details concerning a major transaction.

Otto is currently focused on conventional hydrocarbon exploration and production within South East Asia and East Africa.

The company is also the operator of the producing Galoc oil field in the Philippines, which importantly provides cashflow.

Otto is well-funded with US$7.7 million in cash at the end of June 2014 and no debt.

The ASX has granted the company a trading halt to prepare, with its shares placed in pre-open.

The halt will remain in place until the opening of trade on Monday 22nd September 2014, or earlier if an announcement is made to the market.

 

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.

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Fri, 19 Sep 2014 09:00:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160452/otto-energy-in-halt-to-divulge-major-transaction-57672.html
<![CDATA[News - Otto Energy debt free after loan repayment ]]> https://www.proactiveinvestors.co.uk/companies/news/160451/otto-energy-debt-free-after-loan-repayment-55973.html Otto Energy (ASX:OEL) is now debt free, having repaid the BNP Paribas financing facility which was put in place in December 2012 to fund Otto’s share of the Galoc Phase II development.

The facility had tenor of December 2015 and was fully drawn to US$35.9 million in December 2013.

The Galoc oil field production performance in the first half of 2014 has been strong and, together with strong realised prices for Galoc crude, has allowed the accelerated repayment of this facility.

Future cashflows generated from the Galoc oil field will be used to fund exploration activity across Otto’s portfolio of prospects in the Philippines and onshore East Africa.

The Galoc oil field continues to deliver reliable production during a period of sustained high oil prices, and Otto is now in the enviable position of having strong cashflows, no debt, and high-impact drilling programs in the Philippines and East Africa.

 

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.

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Tue, 01 Jul 2014 15:20:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160451/otto-energy-debt-free-after-loan-repayment-55973.html
<![CDATA[News - Otto Energy secures Philippines approval for reassignment of BHP’s 60% interest in SC55 oil permit ]]> https://www.proactiveinvestors.co.uk/companies/news/160450/ Otto Energy (ASX: OEL) has received Philippines Department of Energy approval for the reassignment of 60% equity in Service Contract 55 in the offshore Palawan Basin from BHP Billiton (ASX: BHP) to Otto.

The company had on 21 January executed agreements with BHP to terminate the farm-out agreement with BHP agreeing to pay US$3 million to Otto upon approval of the reassignment, which will increase Otto’s stake to 93.18%.

BHP will pay a further US$24.5 million to Otto upon completion of the first exploration well in SC55.

Otto will soon update the market to revisions to the work commitment timing once correspondence is received from the DOE.

The Sub-Phase 4 commitment to drill an exploration well will be revised to late 2014 as a result of the suspension due to force majeure in 2013.

It is also several months into a farm-out process to introduce a new joint venture partner to participate in the drilling of the Hawkeye-1 exploration well.

Otto is targeting suitably qualified partners with deepwater experience to join the exploration program and several suitable companies with SE Asia operations have commenced technical due diligence reviews of the available data.

Completion of the farm-out process is anticipated to be completed and a new partner secured by mid-2014.

The company has commenced drilling planning preparations, including development of well designs, planning studies and equipment procurement reviews.

It has also invited expressions of interest from drilling rig owners to determine availability of drilling units to drill the Hawkeye-1 exploration well within the required timeframe.

Hawkeye is a turbidite clastic reservoir target in 1,690 metres of water with top reservoir prognosed to be at 2,732 metres, and is also prospective for a carbonate gas/condensate trend, with the potential for an oil charge.

Success would not only be value accretive for Otto, which has oil production at the Galoc oil field and a market cap. of circa $106 million, it will also open up other possible drilling locations in SC55 that could provide further valuation growth.



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Sat, 15 Mar 2014 12:00:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/160450/
<![CDATA[News - Otto Energy to reclaim BHP's interest, moves to 93% of Philippines’ SC55 oil permit ]]> https://www.proactiveinvestors.co.uk/companies/news/160449/otto-energy-to-reclaim-bhps-interest-moves-to-93-of-philippines-sc55-oil-permit--52057.html Otto Energy (ASX: OEL) has executed final binding agreements with BHP Billiton (ASX:BHP) to terminate the farm-out agreement between the two parties over Service Contract 55, offshore the Philippines.

Otto has submitted a request to the Philippines Department of Energy for re-assignment of BHP's 60% working interest to Otto, taking Otto’s working interest in SC55 to 93.18%.

Upon approval of the re-assignment, BHPB will pay US$3 million to Otto, and Otto will lodge a Sub-Phase 4 work program and budget with to drill the Hawkeye-1 exploration well.

BHP will pay a further US$24.5 million to Otto upon completion of drilling the first exploration well in SC55; and
BHP relinquishes all enduring rights to future exploration outcomes or obligations.

Otto has briefed the Department of Energy of its intention to drill the 3D seismically defined, Direct Hydrocarbon Indicator supported Hawkeye-1 exploration well in Sub-Phase 4.

Hawkeye is a turbidite clastic reservoir target in 1,690 metres of water with top reservoir prognosed to be at 2,732 metres, and is also prospective for a carbonate gas/condensate trend, with the potential for an oil charge.

The permit provides a significant opportunity and a series of possible drilling targets for Otto, and drilling could commence as early as Q4 2014, which will certainly garner the market's attention.


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Tue, 21 Jan 2014 11:20:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/160449/otto-energy-to-reclaim-bhps-interest-moves-to-93-of-philippines-sc55-oil-permit--52057.html
<![CDATA[News - Otto Energy finalising resource assessment for Tanzania oil and gas licences ]]> https://www.proactiveinvestors.co.uk/companies/news/160448/otto-energy-finalising-resource-assessment-for-tanzania-oil-and-gas-licences-51035.html Otto Energy (ASX: OEL) shares are in pre-open after it was granted an ASX trading halt pending finalisation of a resource assessment by the operator of its Tanzanian oil and gas licences.

The trading halt is to last until the earlier of the company releasing the announcement, or the commencement of trade on Thursday, 12 December 2013.

Otto and Swala Energy (ASX: SWE), which is also in a halt, each hold a interests in the Kilosa-Kilombero and Pangani production sharing agreements in Tanzania.

Kilosa-Kilombero covers 17,675 square kilometres and may contain several thousand metres of prospective sediment fill. It may be linked with the greater rift system of the East Africa Rift, where over 2 billion barrels of oil have been found in the Lake Albert area,

Pangani covers 17,156 square kilometres and may represent a potential arm of a triple point junction on the eastern branch of the East African Rift System.

 

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.

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Tue, 10 Dec 2013 16:00:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/160448/otto-energy-finalising-resource-assessment-for-tanzania-oil-and-gas-licences-51035.html
<![CDATA[News - Otto Energy more than doubles oil production at Philippines field ]]> https://www.proactiveinvestors.co.uk/companies/news/160447/otto-energy-more-than-doubles-oil-production-at-philippines-field-50933.html Otto Energy (ASX: OEL) and its partners have started oil production from the Galoc Phase II development in the Palawan Basin offshore Philippines.

Initial production at the Galoc oil field is 14,500 barrels per day though the four well system is expected to be operated at 12,000bpd of oil going forward.

This is more than double the production of 4,500bpd prior to the addition of the Phase II wells.

Galoc has produced more than 11 million barrels of oil since it was commissioned in 2008. Ultimate recovery from the field, with the addition of Galoc-5H and 6H, is expected to be approximately 25 million barrels of oil with end-of-field life extended beyond 2020.

For Otto, which holds a 33% operating interest in the project, the success of the Phase II development not only validates its credentials as an operator but will also deliver a major increase to its cash flow.

 

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Thu, 05 Dec 2013 15:40:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/160447/otto-energy-more-than-doubles-oil-production-at-philippines-field-50933.html
<![CDATA[News - Otto Energy resumes production from Philippines oil field after typhoon passes ]]> https://www.proactiveinvestors.co.uk/companies/news/160446/otto-energy-resumes-production-from-philippines-oil-field-after-typhoon-passes-50068.html Otto Energy (ASX: OEL) has resumed production from its Galoc oil field in the Palawan Basin, offshore Philippines, following the passage of Typhoon Haiyan.

The typhoon had passed directly through the Galoc field area during the night of 8 November and early hours 9 November.

As a precautionary measure, production was suspended and the floating production vessel demanned to essential personnel only.

Following the storm, all remaining personnel are safe and unharmed while a thorough inspection of both the FPSO and the subsea infrastructure confirmed that only minor damage has been sustained.

Equipment installation for the final stages of the Galoc Phase II project has also re-commenced.

All support vessels and crew working on the Galoc Phase II development were evacuated from the field ahead of Super Typhoon Haiyan and were re-mobilised to the field progressively through 10 November.

The Phase II development will more than double production at the Galoc oilfield offshore Philippines to 12,000 barrels of oil per day.

Otto has a 33% operating interest in Galoc.

 

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.

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Mon, 11 Nov 2013 18:20:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/160446/otto-energy-resumes-production-from-philippines-oil-field-after-typhoon-passes-50068.html
<![CDATA[News - Otto Energy to update farm-in agreement with BHP Billiton, Philippines ]]> https://www.proactiveinvestors.co.uk/companies/news/160445/otto-energy-to-update-farm-in-agreement-with-bhp-billiton-philippines-49830.html Otto Energy (ASX: OEL) is preparing to outline details concerning the farm-in agreement with BHP Billiton (ASX: BHP) Petroleum (Philippines) Corporation in respect to Service Contract 55.

The ASX has this morning granted Otto a trading halt, with its shares placed in pre-open.

About a week ago BHP, Operator of Service Contract 55, notified Otto that it has received formal Strategic Environmental Plan Clearance from the Palawan Council for Sustainable Development in order to drill the Cinco-1 prospect.

The halt will remain in place until the opening of trade on Thursday 7th November 2013, or earlier if an announcement is made to the market.

 

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Tue, 05 Nov 2013 10:20:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/160445/otto-energy-to-update-farm-in-agreement-with-bhp-billiton-philippines-49830.html
<![CDATA[News - Otto Energy, BHP Billiton Petroleum receive environmental nod for Philippines offshore well ]]> https://www.proactiveinvestors.co.uk/companies/news/160444/otto-energy-bhp-billiton-petroleum-receive-environmental-nod-for-philippines-offshore-well-49638.html Otto Energy (ASX: OEL) and BHP Billiton Petroleum (ASX: BHP) have received formal clearance from the Palawan Council for Sustainable Development to drill the Cinco-1 exploration well in Service Contract 55 offshore Philippines.

With the award of the Strategic Environmental Plan Clearance, BHP has engaged with the Philippine Department of Energy regarding the revised timing of the work program commitments.

Analysis of more than 2,400 square kilometres of 3D seismic acquired in 2010 has identified a diverse and extensive portfolio of exploration prospects and leads that will present a high impact exploration drilling program over the remaining term of the exploration licence.

SC55 contains both carbonate and sandstone reservoir targets in a variety of settings. The Cinco and Hawkeye prospects provide an indication of this diversity of play type and represent drill mature prospects in the present portfolio.

Otto has a 33.18% interest in Service Contract 55.

 

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Wed, 30 Oct 2013 14:00:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/160444/otto-energy-bhp-billiton-petroleum-receive-environmental-nod-for-philippines-offshore-well-49638.html
<![CDATA[News - Otto Energy to update Philippines based service contract, BHP operator ]]> https://www.proactiveinvestors.co.uk/companies/news/160443/otto-energy-to-update-philippines-based-service-contract-bhp-operator-49547.html Otto Energy (ASX: OEL) is poised to make an announcement concerning finalisation of the issuance of the Strategic Environmental Plan Clearance for Service Contract 55.

Otto has been granted a trading halt by the ASX, with its shares placed in pre-open.

Service Contract 55 is located offshore Palawan, Philippines, and covers 9880 square kilometres.

Otto’s Interest is 33.18%, BHP Billiton (ASX: BHP) the operator.

The halt will last until the opening of trade on Wednesday 30th October 2013, or earlier if an announcement is made to the market.

 

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Mon, 28 Oct 2013 11:40:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/160443/otto-energy-to-update-philippines-based-service-contract-bhp-operator-49547.html
<![CDATA[News - Otto Energy flows oil from Philippines offshore development well ]]> https://www.proactiveinvestors.co.uk/companies/news/160442/otto-energy-flows-oil-from-philippines-offshore-development-well-49149.html Otto Energy (ASX: OEL) has successfully flowed oil at a rate of 6,300 barrels per day from the Galoc-5H development well in the offshore Palawan Basin, Philippines.

This is inline with the forecast overall field production of 12,000bpd once the Phase II expansion is brought into production in late November 2013.

The company will now move to test the Galoc-6H development well.

Phase II development of the Galoc oil field is designed to more than double production to 12,000 barrels of oil per day and ensures the field will remain in production beyond 2020.

Otto has a 33% operating stake in the Galoc oil field, while fellow Australian Nido Petroleum (ASX: NDO) holds 22.88%. The other partners are Kuwait Foreign Petroleum Exploration Company (26.84%), Oil Gas & Power Corporation 7.79%, The Philodrill Corporation 7.21% and the Forum Energy Philippines Corporation 2.28%.

 

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Wed, 16 Oct 2013 15:00:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160442/otto-energy-flows-oil-from-philippines-offshore-development-well-49149.html
<![CDATA[News - Otto Energy completing wells to potentially double production at Philippines oil field ]]> https://www.proactiveinvestors.co.uk/companies/news/160441/otto-energy-completing-wells-to-potentially-double-production-at-philippines-oil-field-48160.html Otto Energy (ASX: OEL) is completing the Galoc-5H and 6H development wells offshore Philippines for production under the Phase II expansion for the Galoc oil field.

The Phase II development of Galoc will more than double production to 12,000 barrels of oil per day and ensures the field will remain in production beyond 2020.

First oil from the expansion is scheduled for November 2013.

The two wells were drilled through a combined 3,177 metre horizontal section that yielded 1,645 metres of net oil pay.

Data recorded during drilling shows high reservoir permeability in both wells which suggests good production deliverability will be achieved.

This confirmed when the wells are flowed to surface in the coming weeks for the well clean-up operations.

Planned upgrades to the Rubicon Intrepid floating production, storage and offtake vessel, which will process the additional Phase II production, have also been successfully completed this week according to schedule.

Delivery of subsea equipment and mobilisation of installation vessels are all on schedule to allow final tie-in work to be completed consistent with planned first oil from the G-5H and G-6H wells in November 2013

Otto has a 33% stake in the Galoc oil field, while fellow Australian Nido Petroleum (ASX: NDO) holds 22.88%. The other partners are Kuwait Foreign Petroleum Exploration Company (26.84%), Oil Gas & Power Corporation 7.79%, The Philodrill Corporation 7.21% and the Forum Energy Philippines Corporation 2.28%.

 

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.

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Wed, 18 Sep 2013 15:20:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160441/otto-energy-completing-wells-to-potentially-double-production-at-philippines-oil-field-48160.html
<![CDATA[News - Otto Energy expands Philippines offshore oil and gas acreage with award of new block ]]> https://www.proactiveinvestors.co.uk/companies/news/160440/otto-energy-expands-philippines-offshore-oil-and-gas-acreage-with-award-of-new-block-47500.html Otto Energy (ASX: OEL) has been awarded Service Contract 73 in the Mindoro Basin offshore Philippines and will reprocess existing 2D seismic of over 3,000 kilometres.

The block has the potential to restock the company’s exploration inventory with oil been discovered near the block with an Extended Production Test conducted in 1994 at the Maniguin wells.

Oil seepages in the Mindoro Island region also confirms the presence of an active petroleum system in the area.

SC 73 covers 8,440 square kilometres with water depths ranging from 100 metres to 1,300 metres.

Petroleum play types identified are reef build-ups, fault blocks and anticlines with reservoir intervals in the Early Miocene to Pliocene carbonates and Early to Late Miocene carbonates and clastics. Source rocks are coaly and organic-rich claystones of Eocene to Middle Miocene.

 

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.

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Tue, 03 Sep 2013 16:20:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160440/otto-energy-expands-philippines-offshore-oil-and-gas-acreage-with-award-of-new-block-47500.html
<![CDATA[News - Otto Energy, BHP Billiton receive environmental nod for Philippines oil and gas well ]]> https://www.proactiveinvestors.co.uk/companies/news/160439/otto-energy-bhp-billiton-receive-environmental-nod-for-philippines-oil-and-gas-well-47313.html Otto Energy (ASX: OEL) and Service Contract 55 operator BHP Billiton Petroleum (ASX: BHP) have been notified of environmental approval for drilling of the Cinco-1 well offshore Philippines.

This moves the partners closer towards securing the final regulatory approvals for the well.

It noted the Palawan Council for Sustainable Development (PCSD) has approved the issuance of the Strategic Environmental Plan Clearance for the well.

Formal written endorsement is being finalised between the PCSD, the operator and the Philippines Department of Energy (DOE).

The SC55 joint venture will seek confirmation from the DOE of the revised work program timing following the suspension due to Force Majeure.

Cinco-1 targets 2.1 trillion cubic feet of gas and 74 million barrels of oil while SC55 contains total unrisked potential mean recoverable resources of 19Tcf and 670MMbbls.

Otto has a 33% working interest in SC55.

 

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.

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Thu, 29 Aug 2013 12:00:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160439/otto-energy-bhp-billiton-receive-environmental-nod-for-philippines-oil-and-gas-well-47313.html
<![CDATA[News - Otto Energy to provide Philippines well update ]]> https://www.proactiveinvestors.co.uk/companies/news/160438/otto-energy-to-provide-philippines-well-update-46021.html Otto Energy (ASX: OEL) is preparing an announcement on well control issues relating to its Duhat-2 well onshore Philippines, with the ASX granting the company a trading halt - with its shares placed in pre-open.

Just yesterday, Otto said that that it had spudded the Duhat-2 exploration well onshore Leyte Island, that targets 34 million barrels of oil. The company has a 80% interest in Duhat-2.

The Duhat prospect covers 13 square kilometres on the San Isidro anticline.

Nearby oil seeps indicate clear evidence of a working petroleum system in the area and drilling is supported by quality 2D seismic data. Live oil was also recovered at one of the shot holes during the seismic survey.

Otto noted that even a discovery as small as 1 million barrels of oil would be economic, which has the potential to then lead to a development in 2014.

The halt will last until the earlier of an announcement being made to the market, or the opening of trade on Tuesday 30th July 2013.

 

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.

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Fri, 26 Jul 2013 11:40:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160438/otto-energy-to-provide-philippines-well-update-46021.html
<![CDATA[News - Otto Energy targets 34 million barrels of oil with Philippines onshore exploration well ]]> https://www.proactiveinvestors.co.uk/companies/news/160437/otto-energy-targets-34-million-barrels-of-oil-with-philippines-onshore-exploration-well-45973.html Otto Energy (ASX: OEL) has spudded the Duhat-2 exploration well onshore Leyte Island, Philippines, that targets 34 million barrels of oil.

The well is one of several growth catalysts in the company’s portfolio. Success will de-risk multiple follow-up structures.

Otto’s other growth catalysts include the Galoc Phase II expansion project that will increase production from the Galoc field to 12,000 barrels per day from the current 4,500bpd, its interest in the BHP Billiton (ASX: BHP) operated SC55 ultra deepwater exploration and seismic being acquired in Tanzania.

The Duhat prospect covers 13 square kilometres on the San Isidro anticline.

Nearby oil seeps indicate clear evidence of a working petroleum system in the area and drilling is supported by quality 2D seismic data. Live oil was also recovered at one of the shot holes during the seismic survey.

Otto noted that even a discovery as small as 1 million barrels of oil would be economic.

A discovery can also lead to a development in 2014.

The company has a 80% interest in Duhat-2.

 

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Thu, 25 Jul 2013 13:00:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160437/otto-energy-targets-34-million-barrels-of-oil-with-philippines-onshore-exploration-well-45973.html
<![CDATA[News - Otto Energy to spud Philippines onshore oil well ]]> https://www.proactiveinvestors.co.uk/companies/news/160436/otto-energy-to-spud-philippines-onshore-oil-well-45042.html Otto Energy (ASX: OEL) expects to spud in late July its Duhat-2 exploration well onshore Leyte Island, Philippines, that targets 34 million barrels of oil.

The contracted rig has commenced mobilisation from Batangas to the port of San Isidro, after which it will proceed to the Duhat-2 drill site, less than 10 kilometres from the port.

Success at Duhat-2 will de-risk multiple follow-up structures.

The Duhat prospect covers 13 square kilometres on the San Isidro anticline.

Nearby oil seeps indicate clear evidence of a working petroleum system in the area and drilling is supported by quality 2D seismic data. Live oil was also recovered at one of the shot holes during the seismic survey.

Otto noted that even a discovery as small as 1 million barrels of oil would be economic.

The company has a 80% interest in Duhat-2.

 

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Mon, 01 Jul 2013 16:40:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160436/otto-energy-to-spud-philippines-onshore-oil-well-45042.html
<![CDATA[News - Otto Energy spuds two oil development wells in the Philippines ]]> https://www.proactiveinvestors.co.uk/companies/news/160435/otto-energy-spuds-two-oil-development-wells-in-the-philippines-44149.html Otto Energy (ASX: OEL) has spudded the Galoc-5H and 6H development wells that will allow it to access additional reserves in the Galoc oilfield offshore Philippines under its Phase II development.

Otto is the operator of the producing Galoc oilfield joint venture offshore, with the Galoc field located in Service Contract SC14C (Galoc Sub Block) in 290 metres of water, which is around 65 kilometres North West of Palawan Island and 350 kilometres south of Manila in the Philippines.

The Galoc-5H and Galoc-6H development wells are being drilled within the existing producing field that has delivered over 10 MMbbls of production since the field was commissioned in 2008.

The Phase II development of the Galoc will more than double production to 12,000 barrels of oil per day and ensures the field will remain in production beyond 2020.

Drilling will take around 115 days, which Otto said will include the flowing of the wells for clean-up, with the forward plan is to drill the 36" (914 mm) hole to 392 metres and install the 30" conductor prior to drilling the 171/2" (444 mm) hole to 950 metres.

The participating interests breaks down to Otto 33% (through wholly-owned subsidiary Galoc Production Company W.L.L. (Operator)), Kuwait Foreign Petroleum Exploration Company 26.84%, Nido Production (ASX: NDO) 22.88%, Oil Gas & Power Corporation 7.79%, The Philodrill Corporation 7.21% and the Forum Energy Philippines Corporation 2.28%.

Otto had a March 2013 closing cash position of US$23.121 million after funding of all exploration, development and production activities.

Galoc production averaged 4,831 bbl during the quarter, with revenue of US$12.478 million from oil sales realised.

The plan for the two wells is to be drilled to a total vertical depth of 2,190 with approximately 2,000 of horizontal completion.

 

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Wed, 05 Jun 2013 09:40:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160435/otto-energy-spuds-two-oil-development-wells-in-the-philippines-44149.html
<![CDATA[News - Otto Energy to drill Philippines oil development wells in June ]]> https://www.proactiveinvestors.co.uk/companies/news/160434/otto-energy-to-drill-philippines-oil-development-wells-in-june-43644.html Otto Energy (ASX: OEL) expects to spud the first of two Galoc Phase II in June with the mobilisation of the Ocean Patriot semi-submersible drilling rig to the Galoc oil field offshore Philippines.

The rig is currently under tow from Singapore and is expected to arrive on site in early June. After it is anchored, it will proceed to spud the Galoc-5H and Galoc-6H wells.

The Phase II development of the Galoc will more than double production to 12,000 barrels of oil per day and ensures the field will remain in production beyond 2020.

It will also allow Otto and its partners to access the additional reserves in the field.

Otto had in March updated Proved (1P) Reserves at Galoc to 3.4 million barrels of oil while Proved and Probable (2P) Reserves have also been updated to 4.3 million barrels of oil.

This represents a Reserves Replacement Ratio of 115% for 1P and 98% for 2P Reserves.

Otto has a 33% interest in the Galoc oil field (SC14C) while fellow Australian Nido Petroleum (ASX: NDO) holds 22.87952%.

 

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Thu, 23 May 2013 16:30:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160434/otto-energy-to-drill-philippines-oil-development-wells-in-june-43644.html
<![CDATA[News - Otto Energy adds Kuwait Foreign Exploration to Philippines oil joint venture ]]> https://www.proactiveinvestors.co.uk/companies/news/160433/otto-energy-adds-kuwait-foreign-exploration-to-philippines-oil-joint-venture-42833.html Otto Energy (ASX: OEL) has reported that Kuwait Foreign Petroleum Exploration Company (KUFPEC) has become a partner in the Galoc joint venture, offshore Philippines.

KUFPEC has assumed control of a 26.84473% working interest in the Galoc joint venture following the acquisition of Risco Energy, the ultimate parent of Galoc Production Company No. 2.

The company joins the Galoc joint venture during a critical period of investment that will extend production from Galoc beyond 2020.

Otto continues to hold a 33% working interest and remains operator of the Galoc project.


KUFPEC

KUFPEC is a subsidiary of Kuwait Petroleum Corporation and was formed to undertake crude oil and natural gas exploration, development, and production operations outside of Kuwait.

Since 1984, KUFPEC has acquired petroleum concessions for discovery and development in Bahrain, Tunisia, Egypt, China and Indonesia.

Today the company operates in several locations within Australia, Africa, Asia, and the Middle East.


Galoc Phase II

The Galoc joint venture partners last year approved the Galoc Phase II development and is scheduled to begin drilling in June 2013, with first oil is expected in the December quarter of 2013.
 
Earlier this week Otto announced it had been advised by BNP Paribas that all conditions precedent to close the US$37.4 million project financing facility for the development had been met.

The facility will fund future capital expenditure for the US$188 million expansion that will more than double oil production at the project with the first drawdown expected in the current quarter.

Otto has to date been able to fund its 33% operating share of the expansion through cash flows generated from Phase I field production.

In March, Otto updated Proved (1P) Reserves at Galoc to 3.4 million barrels of oil while Proved and Probable (2P) Reserves have also been updated to 4.3 million barrels of oil.

This represents a Reserves Replacement Ratio of 115% for 1P and 98% for 2P Reserves.

The Phase II development of the Galoc will more than double production to 12,000 barrels of oil per day and ensures the field will remain in production beyond 2020.

Otto had US$23.21 million in cash as of 31 March 2013.


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Fri, 03 May 2013 08:50:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160433/otto-energy-adds-kuwait-foreign-exploration-to-philippines-oil-joint-venture-42833.html
<![CDATA[News - Otto Energy to close US$37.4M financing for Philippines oil project expansion ]]> https://www.proactiveinvestors.co.uk/companies/news/160432/otto-energy-to-close-us374m-financing-for-philippines-oil-project-expansion-42725.html Otto Energy (ASX: OEL) has been advised by BNP Paribas that all conditions precedent to close the US$37.4 million project financing facility for the Galoc Phase II development offshore Philippines have been met.

The facility will fund future capital expenditure for the US$188 million expansion that will more than double oil production at the project with the first drawdown expected in the current quarter.

Otto has to date been able to fund its 33% operating share of the expansion through cash flows generated from Phase I field production.

Key terms of the BNP facility are:

-    3-year tenor term loan facility expiring 31 December 2015;
-    Principal repayments commencing Q1 2014. Voluntary prepayments may be made without penalty;
-    A competitive interest margin over USD LIBOR; and
-    Galoc project level security provided as is usual for a loan of this nature.

Galoc Phase II development

Good progress continues to be made towards achieving safe production start-up from the Phase II wells, which is anticipated in the fourth quarter of 2013.

Notably, the Ocean Patriot semi-submersible drilling rig is currently in Singapore undergoing planned survey work prior to mobilising to the Galoc field in late May to carry out drilling operations.

Offshore construction planning and equipment deliveries are also tracking to schedule.

Otto had in March updated Proved (1P) Reserves at Galoc to 3.4 million barrels of oil while Proved and Probable (2P) Reserves have also been updated to 4.3 million barrels of oil.

This represents a Reserves Replacement Ratio of 115% for 1P and 98% for 2P Reserves.

The Phase II development of the Galoc will more than double production to 12,000 barrels of oil per day and ensures the field will remain in production beyond 2020.

Otto had US$23.21 million in cash as of 31 March 2013.

 

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Wed, 01 May 2013 16:40:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160432/otto-energy-to-close-us374m-financing-for-philippines-oil-project-expansion-42725.html
<![CDATA[News - Otto Energy, BHP Billiton still committed to drilling Philippines well ]]> https://www.proactiveinvestors.co.uk/companies/news/160431/otto-energy-bhp-billiton-still-committed-to-drilling-philippines-well-42023.html Otto Energy (ASX: OEL) has confirmed that Service Contract 55 operator BHP Billiton Petroleum (ASX: BHP) remains committed towards drilling the Cinco-1 well offshore Philippines at the earliest opportunity.

It added in response to media speculation around the potential suspension or cancellation of SC55 that all critical permits have been obtained with the exception of the Strategic Environmental Plan (SEP) Clearance.

The Sangguniang Panlalawigan (Palawan Provincial Board ) has requested the submission by BHP of a comprehensive socio-economic development for Palawan Province pior to recommending endorsement of the SEP Clearance by the Provincial Council for Sustainable Development.

This is neither a requirement under Philippines Law, nor has it been required for exploration approvals in the past.

BHP is seeking to work with the Philippines Department of Energy to address the impairment of rights and obligations of the JV partners caused by this change in the manner of implementing the SEP Clearance.

Otto confirm that the joint venture has not sought an extension to the current sub-phase that ends in August 2013 and continues to work with the Department of Energy to ensure that work program commitments are met in accordance with the contractual undertakings.

It is also engaging with BHP regarding such options which include potentially temporarily suspending SC55, the joint operating agreement and farm-in agreement under force majeure.

Cinco-1 targets 2.1 trillion cubic feet of gas and 74 million barrels of oil while SC55 contains total unrisked potential mean recoverable resources of 19Tcf and 670MMbbls.

Otto has a 33% working interest in SC55.

 

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Mon, 15 Apr 2013 14:20:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160431/otto-energy-bhp-billiton-still-committed-to-drilling-philippines-well-42023.html
<![CDATA[News - Otto Energy to update exploration activities in the South China Sea ]]> https://www.proactiveinvestors.co.uk/companies/news/160430/otto-energy-to-update-exploration-activities-in-the-south-china-sea-41581.html Otto Energy (ASX: OEL) has been granted a trading halt this morning by the ASX, with its shares placed in pre-open, pending an update on exploration activities in Service Contract 55 in the South China Sea.

Otto has a 33% working interest, with BHP Billiton (ASX: BHP) the operator with 60%.

Worth nothing Otto Energy was added to the All Ordinaries Index in the March quarterly re-balance, with the company having over $19 million in cash at the end of Decemeber 2012.

The halt will last until the earlier of an announcement being made to the market, or the opening of trade on Monday 8th April 2013.

 

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Thu, 04 Apr 2013 12:10:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160430/otto-energy-to-update-exploration-activities-in-the-south-china-sea-41581.html
<![CDATA[News - Otto Energy upgrades Galoc oil reserves ]]> https://www.proactiveinvestors.co.uk/companies/news/160429/otto-energy-upgrades-galoc-oil-reserves-40806.html Otto Energy (ASX: OEL) has updated Proved Reserves at its Galoc oil field in the offshore Palawan Basin, Philippines, to 3.4 million barrels of oil.

Proved and Probable (2P) Reserves have also been updated to 4.3 million barrels of oil following an annual review of remaining oil reserves by independent consultants RISC.

This represents a Reserves Replacement Ratio of 115% for 1P and 98% for 2P Reserves.

Otto noted that the upgrades represented better than expected reservoir performance to date and an extension of field life due to higher prevailing oil prices.

Otto is poised to begin the Phase II development of the Galoc that will more than double production to 12,000 barrels of oil per day.

This will also ensure that the field remains in production beyond 2020.

Otto had US$19.3 million in cash as of 31 December 2012 and has secured project financing for its share of development costs for Galoc Phase II.

 

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Fri, 15 Mar 2013 08:30:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/160429/otto-energy-upgrades-galoc-oil-reserves-40806.html
<![CDATA[News - Otto Energy picks up new Philippines offshore exploration block ]]> https://www.proactiveinvestors.co.uk/companies/news/160428/otto-energy-picks-up-new-philippines-offshore-exploration-block-39920.html Otto Energy (ASX: OEL) is expanding its Philippines portfolio after been named the preferred bidder for an oil and gas exploration block in the offshore Mindoro Basin.

Area 7 is located in the southern part of the Basin and covers about 8,440 square kilometres in water depths of between 100 metres to 1,300 metres.

The block is covered by over 3,000 line kilometres of 2D seismic and contains potential petroleum play types such as reef build-ups, fault blocks and anticlines.

Reservoir intervals are Early Miocene to Pliocene carbonates and Early to Late Miocene carbonates and clastics.

Oil has been discovered with an Extended Production Test conducted in 1994 at the Maniguin wells near the block. The occurrence of oil seepages in the Mindoro Island region also confirms the presence of an active petroleum system in the area.

The final award is subject to execution of the final form of the Service Contract and supporting documentation between Otto Energy and the Philippines Department of Energy.

Upon execution, Otto will commit to reprocessing the existing seismic study with a minimum financial commitment of US$0.5 million within an initial period of 18 months.

 

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Fri, 22 Feb 2013 12:40:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/160428/otto-energy-picks-up-new-philippines-offshore-exploration-block-39920.html
<![CDATA[News - Otto Energy commits to further exploration onshore Tanzania ]]> https://www.proactiveinvestors.co.uk/companies/news/160427/otto-energy-commits-to-further-exploration-onshore-tanzania-39814.html Otto Energy (ASX: OEL) and Swala Oil and Gas have committed to the second exploration year at their two Tanzanian production sharing agreements after receiving encouraging results from airborne surveys conducted in 2012.

Interpretation of new gravity and magnetic surveys confirmed the likely presence of Tertiary rift basins with a geological setting that may be similar to the recent Tullow Oil (TLW: LON) discoveries in Kenya’s Lokichar Basin.

The two companies will now be required to acquire up to 500 line kilometres of 2D seismic across both the Kilosa Kilombero and Pangani PSAs to improve their understanding.

Results from the seismic program will be available before the end of 2013 when the joint venture will decide whether to drill a well in both exploration licence areas.

Otto entered the highly prospective East African Rift Valley in February 2012. The region is historically under-explored but is widely accredited as having significant exploration potential.

 

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Wed, 20 Feb 2013 16:00:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/160427/otto-energy-commits-to-further-exploration-onshore-tanzania-39814.html
<![CDATA[News - Otto Energy share spike attracts ASX speeding ticket ]]> https://www.proactiveinvestors.co.uk/companies/news/160426/otto-energy-share-spike-attracts-asx-speeding-ticket-37980.html Otto Energy (ASX: OEL) has been issued an ASX price and volume query after its shares rose to an intra day high of A$0.11 yesterday from a close of $0.095 on Friday, 4 January.

Volumes have been high this week with 5.8 million shares traded on Monday, 6.7 million on Tuesday and 3 million shares yesterday.

Otto said it was not aware of any information that had not already been announced that could explain the increase and volume.

It noted that in recent weeks a number of media articles and research coverage had covered the 2013 drilling programs at the Galoc oil field, Service Contract 51 and Service Contract 55 offshore Philippines that it is preparing to carry out from the second quarter.

However, this information had previously been released by Otto.

Otto is poised to begin the Phase II development of the Galoc that will more than double production to 12,000 barrels of oil per day.

 

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Thu, 10 Jan 2013 09:15:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/160426/otto-energy-share-spike-attracts-asx-speeding-ticket-37980.html
<![CDATA[News - Otto Energy to drill onshore Philippines well targeting 23 million barrels of oil ]]> https://www.proactiveinvestors.co.uk/companies/news/160425/otto-energy-to-drill-onshore-philippines-well-targeting-23-million-barrels-of-oil-37281.html Otto Energy (ASX: OEL) and its partners will drill the Duhat-2 exploration well onshore Philippines that targets a mean resource of 23 million barrels of oil in the middle of next year.

This follows a targeted 150 kilometre 2D seismic program in 2012 that confirms the robustness of the large anticline that was poorly defined on previous seismic data.

Duhat-2 has potential upside of 59 million barrels.

Otto, which recently doubled its stake in the Service Contract 51 North joint venture to 80%, will fund its share of costs from current cash reserves and continued revenue.

It is currently attempting to secure a rig to drill the well.

While the Duhat-1 well drilled in 2011 failed to intersect the reservoir intervals prognosed to lie in the deeper sections of the well at 500 metres to 800 metres, oil and gas indications were observed.

Oil seeps were also encountered during acquisition of the recent seismic in exploration shot holes.

All of this evidence demonstrates that Leyte Island and in particular the San Isidro area contains an active petroleum system.

Success has the potential to not only discover a new oil field but also unlock a number of large anticlinal structures in the permit.

 

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Thu, 13 Dec 2012 12:40:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/160425/otto-energy-to-drill-onshore-philippines-well-targeting-23-million-barrels-of-oil-37281.html
<![CDATA[News - Otto Energy wins support from the Philippines Government for well extension ]]> https://www.proactiveinvestors.co.uk/companies/news/160424/otto-energy-wins-support-from-the-philippines-government-for-well-extension-34451.html Otto Energy (ASX: OEL) has received some strong support from the Philippines Department of Energy with the approval for the SC-51 term extension.

SC-51 represents a low cost exploration with potential to monetise in the near term.

Importantly for Otto, the: Present Sub-Phase term extended until 31 January 2013; SC-51 tenure confirmed until 8 July 2015; and The Duhat-2 exploration well to be drilled in SC51 in 2013.

The significance of the extension is that allows completion of the acquisition, processing, and interpretation of the present 2D seismic program.

The acquisition of the 102 kilometres of new 2D seismic data over the San Isidro anticline was completed in early October 2012. Processing of these data is progressing.

Otto has proposed a well depth of 1000 metres, with the area od closure 14.5 kilometres and the STOIIP 12-76-263 MMbbls.

Highlighting the potential - active hydrocarbon generation and expulsion confirmed through surface seeps


SC-51 onshore

SC-51 is located onshore on the island of Leyte in the Philippines, with Otto focused on maturing the Duhat prospect located on the San Isidro anticline that was drilled with the Duhat-1/1A well in 2011.

The next Sub-Phase commencing 1 February 2013 requires the drilling of a well, planning for which has already commenced.

SC-51 is a potentially high value, material opportunity with significant follow up prospectivity in the case of success. Otto’s recent equity increase to 80% is consistent with the emerging prospectivity of this area.

Under the terms of a pre-existing farm-in agreement, Otto will pay 100% of future costs through to drilling of the Duhat-2 exploration well to earn the full 80% working interest.

 

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Fri, 12 Oct 2012 14:40:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160424/otto-energy-wins-support-from-the-philippines-government-for-well-extension-34451.html
<![CDATA[News - Otto Energy to increase Galoc oil production to 12,000bpd ]]> https://www.proactiveinvestors.co.uk/companies/news/160423/otto-energy-to-increase-galoc-oil-production-to-12000bpd--33296.html Otto Energy (ASX: OEL) and its partners have approved the A$181.9 million Phase II development of the Galoc oil field in the Palawan Basin offshore Philippines that will more than double oil production to 12,000 barrels per day (bpd).

The Phase II development consists of the drilling of two subsea wells that will be tied back to the existing Floating Production, Storage & Offloading facility Rubicon Intrepid with first oil expected in the second half of 2013.

Otto has already secured the Ocean Patriot semi-submersible drilling rig to drill the two development wells. This includes an option for additional exploration drilling in the northern area of the Galoc field.

Current production at Galoc is about 5,600bpd of oil.

This follows a 156% increase in proven reserves to 8.9 million barrels (MMbbls) and a 134% increase in proven and probable reserves to 13.4MMbbls.

The upgrade by independent consulting firm RISC is due to higher well recoveries based on pressure data analysis and booking of reserves from previously reported contingent resources.

Future reserve and resource increases are likely to come from incorporation of the results of the recent 3D seismic not yet incorporated into the RISC report, successful appraisal/exploration activities on the field, further in-fill drilling, facilities optimisation and tertiary recovery.

Financing

Otto will fund its US$62 million (A$60 million) share of capital expenditure independent consulting firm.

It has mandated BNP Paribas to arrange a US$37.4m project finance term loan secured against Otto's interests in the Galoc field with a 3 year tenor.

This facility is expected to achieve financial close in the fourth quarter of 2012 with first drawdown required in early 2013.

Joint venture partners, including fellow Australian Nido Petroleum (ASX: NDO), have either made the necessary undertakings that they have their financing in place or are in the process of satisfying conditions precedent to achieve financial close, to satisfy funding their respective shares of the project.

Otto has a 33% operating interest in Service Contract 14C, which contains the field, while Nido holds 22.88%. Other partners include Galoc Production Company (2) with 26.84%, Oriental Petroleum & Minerals with 7.78%, Philodrill Corporation with 7.2% and Forum Energy with 2.3%.

SC 51 acquisition

Otto has also increased its interest in SC51 North Block onshore Leyte Island, Philippines, to 80% after purchasing a 40% working interest from SWAN Oil & Gas Limited for A$1.25 million.

The agreement does not cover SC51 South Block, which it relinquished in February 2011.

Otto will pay 100% of future costs through to drilling of the Duhat-2 exploration well to earn the full 80% working interest. The well is expected to be drilled in 2013.

The current 100 kilometre 2D seismic acquisition programis planned to be complete by October, depending on weather conditions.

Otto is focused on maturing the Duhat prospect located on the San Isidro anticline that was drilled with the Duhat-1/1A well in 2011.

During the drilling of this well, oil and gas indications were observed and the presence of an active petroleum system, a working seal and a structure conducive to hydrocarbon entrapment were proven. The Duhat structure is mapped to have mean in place volumes of 76MMbbls of oil.

 

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Tue, 11 Sep 2012 11:20:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160423/otto-energy-to-increase-galoc-oil-production-to-12000bpd--33296.html
<![CDATA[News - Otto Energy, BHP Billiton get more time to drill offshore Philippines wells ]]> https://www.proactiveinvestors.co.uk/companies/news/160422/otto-energy-bhp-billiton-get-more-time-to-drill-offshore-philippines-wells-29368.html Otto Energy (ASX: OEL) and BHP Billiton (ASX: BHP) have been granted a 12 month extension to the current exploration phase of their Service Contract 55 offshore Palawan Basin, Philippines.

The joint venture will now have until 5 August 2013 to drill a well under Sub Phase 4 of the permit. Likewise, they now have until 5 August 2014 to drill another well under Sub Phase 5.

Operator BHP had in April requested the extension secure an appropriate ultra deepwater rig with specialised well control equipment that will promote safe drilling operations on the proposed Cinco prospect.

Availability of such rigs is limited and has been considered in the duration of the requested extension. The requested extension also is expected to provide time for post-well analysis prior to commitment to any subsequent phases.

BHP’s farm-in to SC55 was approved by the Philippines in February this year.

Under this farm-in Otto will be free carried through drilling of the Cinco deepwater well, which targets about 2.1 trillion cubic feet of gas and 74 million barrels of condensate, as well as the second well.

BHP has also reimbursed past costs and funded 1800 square kilometres of 3D seismic to earn a 60% stake in SC55.

The permit also holds the Hawkeye prospect that could hold either 680 million barrels of in-place oil or 1.3Tcf of in-place oil.

Otto retains a 33.18% stake in SC55 while Trans-Asia Oil and Energy Development Corporation holds the remaining 6.82%.

 

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Mon, 28 May 2012 13:40:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160422/otto-energy-bhp-billiton-get-more-time-to-drill-offshore-philippines-wells-29368.html
<![CDATA[News - Otto Energy upgrades Galoc oil field reserves, on track for decision on Phase 2 development ]]> https://www.proactiveinvestors.co.uk/companies/news/160421/otto-energy-upgrades-galoc-oil-field-reserves-on-track-for-decision-on-phase-2-development-29042.html Otto Energy (ASX: OEL) has increased the proved (1P) economic ultimate recovery reserves for the Galoc oil field in the Palawan Basin offshore Philippines by 19.7% to 12.58 million barrels of oil equivalent (MMboe).

With 8.46MMboe produced to 1 January 2012, this leaves remaining 1P reserves at 4.12MMBoe of which Otto's share is 1.15MMboe.

Proved and probable reserves were also increased by 3.5% to 15.25MMboe, leaving the field with estimated remaining field life of about 5 years from the 2 existing production wells.

Otto said the upgrades confirmed its ability to maintain production for several more years and comes ahead of the anticipated approval of the project's second phase.

Galoc Phase 2 will also allow Otto to convert the gross best estimate contingent resources of 4.5MMboe into reserves.

A final investment decision for Phase 2 remains on track for the middle of this year,

 

Proactive Investors is a market leader in the investment news space, providing ASX “Small and Mid-cap” company news, research reports, StockTube videos and One2One Investor Forums.

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Fri, 18 May 2012 14:00:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160421/otto-energy-upgrades-galoc-oil-field-reserves-on-track-for-decision-on-phase-2-development-29042.html
<![CDATA[News - Otto Energy firms up East African play, takes up stakes in Tanzanian onshore blocks ]]> https://www.proactiveinvestors.co.uk/companies/news/160420/otto-energy-firms-up-east-african-play-takes-up-stakes-in-tanzanian-onshore-blocks-28579.html Otto Energy (ASX: OEL) is making its entry into the hot East African petroleum sector after it took up a 50% stake in the Kilosa-Kilombero and Pangani production sharing agreements onshore Tanzania.

The Tanzanian government has now approved the assignment of the interests from Swala Oil and Gas under a farm in deal that was executed in February 2012.

Work has start on reprocessing existing aero-magnetic data over the block and Otto plans to carry out an airborne magnetic and gravity survey in July.

If results from the initial data acquisition are positive then the joint venture can elect to acquire seismic data prior to committing to a well in either block.

The overall Kilosa-Kilombero and Pangani acreage covers almost 34,000 square kilometres and their acquisition is consistent with Otto’s strategy to obtain acreage in prospective areas on attractive terms at the beginning of the exploration lifecycle.

Pangani is believed to be a potential arm of a triple point junction on the eastern branch of the East African Rift System, at the top of which Tullow Oil and its partners plan to spud an exploration well in 2012.

Kilosa-Kilombero is a large licence covering the Kilosa and Kilombero Mesozoic and Cenozoic basins, formed during two phases of rifting which also constitutes the huge Selous basin.

The Cenozoic rifting may be linked with the greater (western) rift system of the East Africa Rift.

 

Proactive Investors is a market leader in the investment news space, providing ASX “Small and Mid-cap” company news, research reports, StockTube videos and One2One Investor Forums.

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Tue, 08 May 2012 11:00:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160420/otto-energy-firms-up-east-african-play-takes-up-stakes-in-tanzanian-onshore-blocks-28579.html
<![CDATA[News - Otto Energy says BHP extending deadline for drilling of commitment well in the Philippines ]]> https://www.proactiveinvestors.co.uk/companies/news/160419/otto-energy-says-bhp-extending-deadline-for-drilling-of-commitment-well-in-the-philippines-27674.html Otto Energy (ASX: OEL) will have to wait for the hydrocarbon potential of Service Contract 55 in the Palawan Basin offshore Philippines to be proved up after operator BHP Billiton (ASX: BHP) applied to push back drilling of the commitment well.

The resources giant has requested that the Philippines Department of Energy extend the current contractual deadline to complete drilling of the commitment well by 18 months to 5 February 2014 from the current 5 August 2012.

This request was made to secure an appropriate ultra deepwater rig with specialised well control equipment that will promote safe drilling operations on the proposed Cinco prospect.

Availability of such rigs is currently limited and has been considered in the duration of the requested extension. The requested extension also is expected to provide time for post-well analysis prior to commitment to any subsequent phases.

BHP’s farm-in to SC55 was approved by the Philippines in February this year.

Under this farm-in Otto will be free carried through drilling of the Cinco deepwater well, which targets about 2.1 trillion cubic feet (Tcf) of gas and 74 million barrels of condensate, as well as the second well.

BHP has also reimbursed past costs and funded 1800 square kilometres of 3D seismic to earn a 60% stake in SC55.

The permit also holds the Hawkeye prospect that could hold either 680 million barrels of in-place oil or 1.3Tcf of in-place oil.

Otto retains a 33.18% stake in SC55 while Trans-Asia Oil and Energy Development Corporation holds the remaining 6.82%.

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Mon, 16 Apr 2012 16:10:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160419/otto-energy-says-bhp-extending-deadline-for-drilling-of-commitment-well-in-the-philippines-27674.html
<![CDATA[News - Otto Energy resumes Galoc oil production, on track for decision on expanding the Philippines field ]]> https://www.proactiveinvestors.co.uk/companies/news/160418/otto-energy-resumes-galoc-oil-production-on-track-for-decision-on-expanding-the-philippines-field-27168.html Otto Energy (ASX: OEL) has brought the Galoc oil field in the Palawan Basin offshore Philippines back into production following the completion of a planned refurbishment of the floating production storage and offloading vessel.

This work included the installation of a bow mounted, non-disconnectable turret mooring system to replace the previous disconnectable system, which is expected to increase the reliability and uptime of the FPSO.

The upgrade is also a critical piece of infrastructure needed for the Galoc joint venture to proceed with a potential Phase II development of the field.

Otto added this second phase development was still on track for approval in the middle of this year.

Front end engineering and design for this stage covers detailed subsurface modelling of the reservoir, drilling and completion design, subsea engineering and tie-back design for new wells as well as joint venture financing considerations.

New 3D seismic had also been acquired in late 2011 covering the Galoc field and adjacent Galoc North exploration prospect.

This will support placement of Phase II wells in the reservoir; derisking this major capital expenditure; and full evaluation of Galoc North, which may lead to further development opportunities for Galoc.

Gaffney Cline and Associates had recently increased proved and probable reserves at Galoc by 23.06% to 22.89 million barrels of oil, which further increased confidence in the planned expansion.

Otto holds a 33% operating stake in the project while Nido Petroleum (ASX: NDO) holds 22.88%.

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Mon, 02 Apr 2012 12:40:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160418/otto-energy-resumes-galoc-oil-production-on-track-for-decision-on-expanding-the-philippines-field-27168.html
<![CDATA[News - Otto Energy in pre-open pending acquisition in the Philippines ]]> https://www.proactiveinvestors.co.uk/companies/news/160417/otto-energy-in-pre-open-pending-acquisition-in-the-philippines--18577.html Otto Energy (ASX: OEL) has been granted a trading halt by the ASX pending an acquisition announcement, with the company's shares placed in pre-open.

Otto is preparing to release details in respect to the execution of an acquisition in relation to a producing oil project in the Philippines.

The halt will last until the earlier of trade commencing on Monday 15 August, or when the announcement is released to the market.

Otto currently has three projects in the Philippines, two offshore and one onshore.

 

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Thu, 11 Aug 2011 16:56:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160417/otto-energy-in-pre-open-pending-acquisition-in-the-philippines--18577.html
<![CDATA[News - Otto Energy in trading halt pending announcement on offshore well in Philippines ]]> https://www.proactiveinvestors.co.uk/companies/news/160416/otto-energy-in-trading-halt-pending-announcement-on-offshore-well-in-philippines-16093.html Otto Energy (ASX: OEL) has been granted a trading halt by the ASX in order to allow the company time to prepare an announcement regarding the completion of a farm-in arrangement to Service Contract 55 (SC55), Offshore Palawan, Philippines.

The halt will last until an announcement is made or commencement of trading on Wednesday 11th May 2011.

Otto recently finished processing an 1,800 square kilometre portion of “Extension” 3D seismic data and has been undergoing interpretation.

Initial interpretation of the recently processed data indicates the presence of an active petroleum system in the block coupled with a series of large to very large Nido Carbonate structures.

The estimated “success case” of oil in place has a mean volume of 680 million barrels of oil. The prospect has a current risk with a Geological Probability of Success at 27%.

The next phase of work commitments will begin in August 2011 and includes the drilling of a deepwater exploration well by August 2012.

The company entered into an agreement with joint venture partner Trans-Asia Oil and Energy Development Corporation (PINK: TAOEF) to increase its working interest to 93.18% and will carry Trans-Asia’s residual equity interest through the drilling of a second well in the permit.

The final decision on the farm-in option held by BHP Billiton (LON: BLT) (ASX: BHP) is expected sometime this year.

SC55 covers an area 9,880 square kilometres.

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Mon, 09 May 2011 15:22:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160416/otto-energy-in-trading-halt-pending-announcement-on-offshore-well-in-philippines-16093.html
<![CDATA[News - Otto Energy to drill Philippines exploratory oil well ]]> https://www.proactiveinvestors.co.uk/companies/news/160415/otto-energy-to-drill-philippines-exploratory-oil-well-12830.html With a drill rig contract in hand, Otto Energy (ASX: OEL) will embark on drilling exploration well Duhat‐1 in the first comprehensive structural test conducted on the island of Leyte in the Philippines.

The area is well documented for oil seeps and substantial exploration prospects.

Drilling is expected to commence by early March of 2011 and will take about 27 days to complete.

The Duhat‐1 well is designed to reach a total vertical depth of 1,000 metres and will test the hydrocarbon potential of the San Isidro anticline, primarily in Miocene Tagnacot Formation limestone and sandstone targets.

The area has an estimated resource potential of 1 to 62 million barrels recoverable oil.

The drilling of the Duhat‐1 well was approved by the SC51 Joint Venture (Otto 80%)  and the Philippines Department of Energy.

Production from the Galoc Oil Field located offshore the northwest Palawan basin provides cash flow for the company and commenced production in October 2008.

Otto is currently one of the largest landholders of prospective acreage in the Philippines, through the company's wholly-owned subsidiary NorAsian Energy Ltd.

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Thu, 06 Jan 2011 13:53:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/160415/otto-energy-to-drill-philippines-exploratory-oil-well-12830.html
<![CDATA[News - Otto Energy delivers first gas into Turkey grid ]]> https://www.proactiveinvestors.co.uk/companies/news/160414/otto-energy-delivers-first-gas-into-turkey-grid-6330.html Otto Energy (ASX: OEL) has reported with its partners, TransAtlantic Exploration Mediterranean Int. Pty. Ltd., a subsidiary of TransAtlantic Petroleum Ltd (TEMI) and local Turkish company Petraco, that first sales gas has been delivered into the BOTAS national gas grid.

This completes the first phase of activity comprising the discovery and development of eight individual gas accumulations within the Edirne Licence in the Thrace Basin of the European part of Turkey.

Commissioning and optimisation of the Edirne Gas Plant will be ongoing over the coming weeks with expected steady state production post commissioning to be in the range of 10–14 mmscf per day.

The company said gas production from the Edirne licence will be sold via a dedicated sales arrangement to AKSA Dogalgaz Toptan Satis A.S. Otto has elected not to participate in the Gas Plant ownership and will pay a processing fee to the Joint Operators.

The Edirne Joint Venture partners comprise Otto, which holds a 35% interest in the Edirne Licence and Joint Operators TEMI (55%) and local Turkish company Petraco (10%).

 

 

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Fri, 09 Apr 2010 08:34:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/160414/otto-energy-delivers-first-gas-into-turkey-grid-6330.html